Technology news and Jobs arrow VIRTUALISATION arrow Appetite for mobile music growing to $US32b says Gartner
Appetite for mobile music growing to $US32b says Gartner E-mail
by Stuart Corner   
Thursday, 25 January 2007
Shakespeare's Orsino, declaring music to be the food of love demanded surfeit so that his appetite "may sicken and so die". The world's mobile users' appetite for music shows no signs of such sickening with Gartner predicting that revenue from music downloaded to mobiles will surge to $US32 billion by 2010.

This, it says is "despite competition from various digital music players and a host of challenges faced by telecommunications carriers in delivering these services."

These revenues will span the gamut from ringtones to ringbacks (the sound someone hears when they call your phone) to full track downloads and streamed music. Stephanie Pittet, principal research analyst at Gartner, said that while mobile music was growing from a small base, it represented a good revenue opportunity for providers that could "get it right".

 "Mobile carriers have a strategic advantage when it comes to delivering ringtones, as they already know the end-user's network settings, handset and personal preferences. However, when it comes to the 'entertainment' side of mobile music like streaming and full track downloads, they risk losing share to other players, which might include device vendors, record companies and other solution providers."

Gartner points out that the Apple iPhone and Microsoft Zune will compete directly with mobile carriers' portals. However, Gartner says a range of factors are helping mobile carriers to secure a new revenue stream.

"The mobile phone has become the device that people carry everywhere, in all circumstances," said Pittet. "Over-the-air downloads mean that people no longer have to be at a desk to plug in the device. Billing via a mobile phone is secure and easy, and for operators, it is easy to target customers with personalised content because one mobile phone SIM card is used by one person most of the time.

 
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